Armenian authorities not now planning to hike price of gas
YEREVAN. Dec 3 (Interfax) - The price of natural gas in Armenia will not be going down, the head of the country's presidential administration Vigen Sarkisian said.
"The price of natural gas for the end-consumer will not go down, but, clearly it won't be rising. If there had not been yesterday's agreement, it is likely there could have arisen the necessity of revising prices, which we have avoided for the last five years," Sarkisian told the local media on Tuesday.
During Monday talks between Russian President Vladimir Putin and Armenian President Serzh Sargsian, Putin said that the cost of delivering Russian gas to Armenia would be $189 per thousand cubic meters instead of the previous price of $270.
The new price is due to Russia cancelling its 30% export duty, as a result of which the cost of gas will be determined in accordance with a pricing formula pegged to Russian gas prices.
Sarkisian said that changes in favor of the consumer could come where the price of imported oil products is concerned.
"At the present time we import a small amount of oil products from Russia, using other markets. Now, when Russia is cancelling the 35 percent duty on oil products for Armenia, a change in the geography of markets is possible, which could influence prices in Armenia," he said.
The final pricing is associated with the routes by which oil prices arrive in the country, he said, "in connection with which there are serious problems."
Sarkisian also said that that Armenia had paid off preterm an anti-crisis stabilization credit of $500 million this year - a credit provided by Russia in 2009. The credit made it possible to resolve many social and economic issues, and was used it a goal-oriented way, he said.